Saipem Awarded US$510m contract by ADNOC for the Shah Gas plant in the UAE

Saipem has received a Letter of Award from ADNOC Sour Gas, a subsidiary of the Abu Dhabi National Oil Company (ADNOC), for a new contract related to the Optimum Shah Gas Expansion (OSGE) & Gas Gathering project in the United Arab Emirates. The contract covers the expansion and upgrade of the existing Shah gas plant. The overall value of the contract is around 510 million USD.


The EPC (Engineering, Procurement, Construction) contract includes the engineering, supply of materials, construction and commissioning of additional components, designed to increase the gas treatment daily capacity of the Shah Gas plant by 13%, from the current production capacity of 1.28 to 1.45 billion standard cubic feet per day, representing a cumulative increase to 145% of the original design capacity of the plant. The Shah Gas plant is the largest sour gas plant in the world. Due to a higher sulphur content, the plant requires specific technologies to ensure safety and respect for the environment. The technologies utilized will ensure, moreover, continuity of production even during maintenance work, and minimise downtime.


Saipem has a consolidated presence in the United Arab Emirates where it has already built many plants, including the design and build of the gas treatment units for the original construction of Shah.


Maurizio Coratella, Chief Operating Officer of Saipem’s Onshore E&C Division commented that: “The award of this new project by a key client such as ADNOC, strengthens our long-lasting presence in the United Arab Emirates and is an additional recognition of our ability to carry out high-tech and complex projects in accordance with the highest safety and environmental standards. We are pleased to contribute to the upgrading of this important plant for the country”.


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